BREAKING: EU carbon allowances hit €87.40 as Commission proposes accelerated 2030 cap reduction • India CCTS Phase II draft released for public comment • Voluntary market integrity initiative publishes new baseline methodology • Global CO₂ at 421.7 ppm •
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Policy

EU Proposes Steepest Carbon Cap Reduction in ETS History, Markets Respond

By Elena Vasquez · March 12, 2026 · 8 min read

The European Commission announced a proposal to accelerate the annual reduction of emission allowances from 2.2% to 4.2%, sending carbon prices to a three-month high and reshaping compliance cost projections across heavy industry.

Latest

India Releases Draft Framework for Carbon Credit Trading Scheme Phase II

The Bureau of Energy Efficiency published expanded sector coverage guidelines that will bring transport and commercial real estate under the national carbon pricing mechanism.

Verra Tightens REDD+ Methodology After Satellite Verification Discrepancies

The world's largest carbon registry overhauled its forest conservation crediting approach, requiring quarterly satellite monitoring and third-party verification of baseline deforestation rates.

Direct Air Capture Costs Fall Below $400 Per Tonne for First Time

Climeworks' latest Swiss facility reports a 28% cost reduction through waste heat integration and modular contactor design, bringing technology removal credits closer to market viability.

China's National ETS Expands to Cover Cement and Aluminum Sectors

After years of covering only power generation, the world's largest emissions trading system begins phased inclusion of two of its most carbon-intensive industrial sectors.

Science

Antarctic Ice Sheet Loss Accelerates Beyond IPCC AR6 Projections

New satellite gravimetry data reveals West Antarctic ice mass loss at 180 Gt/year, 40% above the central estimate in the latest IPCC assessment report.

Ocean Carbon Sink Weakening Confirmed Across Southern Hemisphere

A multi-institution study published in Nature finds the Southern Ocean absorbed 12% less CO2 in 2025 than the decadal average, with implications for global carbon budget models.